New Delhi: Indian Railways has issued a letter of award to GE Global Sourcing India to manufacture 1,000 diesel locomotives for them in 10 years, an official said on Monday.
The locomotives will be manufactured by a joint venture company between the railways ministry and GE Global Sourcing India which will set up a diesel locomotive factory at Marhowra in Bihar's Saran district.
The agreement entails the manufacture of 1,000 locomotives over a period of 10 years with the basic cost of the 1,000 locomotives pegged at Rs.14,656 crore.
The ministry will hold 26 percent equity in the JV company subject to a maximum of Rs.100 crore, a statement said.
Already, 226 acres of land for the project has been has been acquired to construct the factory in three years time at the cost of Rs.1,000 crore.
Latest Business News
